Business & Finance
Bitcoin rises past $79,000 as rally approaches $80,000 threshold
Strong ETF inflows and liquidations of short positions pushed the cryptocurrency higher amid growing risk appetite.
The short version
- Bitcoin increased by 3.1% to reach $79,739 on Tuesday, continuing a recent surge following its largest three-day gain since 2023.
- The broader rally has been supported by $1.92 billion in weekly net inflows to U.S. spot bitcoin ETFs and over $4 billion in liquidated short positions.
- Ether also saw gains, rising 2% to reach $2,494.
- Market analysts remain divided on whether the current price trajectory represents a lasting upward trend or a temporary bounce.
Key facts
- Bitcoin climbed 3.1% to hit $79,739, nearing the $80,000 price point.[CNBC]
- A recent three-day gain of over 20% was partially driven by a short squeeze that liquidated more than $4 billion in bearish crypto positions.[CNBC]
- U.S. spot bitcoin exchange-traded funds recorded $1.92 billion in net inflows last week, their highest weekly total since October.[CNBC]
- Ether traded 2% higher, reaching $2,494.[CNBC]
- Strategy, the largest corporate holder of bitcoin, has not purchased any bitcoin for two weeks.[CNBC]
What remains uncertain
- Analysts disagree on the sustainability of the rally; BTIG cautioned that a similar January 2023 surge eventually faded, while Fundstrat suggested strong ETF inflows and stablecoin creation signal a more durable trend.[CNBC]